Warnock Inc. is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that a project's projected NPV can be negative, in which case it will be rejected.
A) $54.62
B) $57.49
C) $60.52
D) $63.54
E) $66.72

Question

Quizplus · Accepted Answer

The NPV (Net Present Value) is calculated by discounting the project's cash flows at the given WACC (Weighted Average Cost of Capital) and subtracting the initial investment. The correct NPV value is $60.52.